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2013 (7) TMI 24 - MADRAS HIGH COURTPenalty imposed under Rule 13 of CENVAT Credit Rules, 2002 - offence by retaining wrongful CENVAT credit for a period of six months - Held that:- Assessee did not utilise the credit and reversed immediately on receipt of the intimation about the error. In the circumstances, in the absence of any other material to show the intent to cause wrongful gain as required under Section 11A of the Central Excise Act, the levy of penalty was cancelled. Setting aside Penalty imposed - when the question of "imposition of penalty equivalent to the amount of duty evaded under Section 11AC of the Central Excise Act, whether maximum or not and of discretion to impose lesser amounts" - Held that:- Application of Section 11AC would depend upon the existence or otherwise of the conditions expressly stated in the section, once the section is applicable, the concerned authority would have no discretion in quantifying the amount and penalty must be imposed equal to the duty determined under sub-section (2) of Section 11A as it has been observed in UNION OF INDIA v. RAJASTHAN SPINNING & WEAVING MILLS [2009 (5) TMI 15 - SUPREME COURT OF INDIA]. - Decided in favor of assessee.
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